Exam 13: Balance of Payments

For the following set of international transactions with the United States,indicate in what specific category and account in the United States balance of payments each transaction would be included and whether it is a credit or debit. Kodak,a U.S.company,sells photographic film in Europe and receives 50,000 euros in exchange.

For the following set of international transactions with the United States,indicate in what specific category and account in the United States balance of payments each transaction would be included and whether it is a credit or debit. A U.S.citizen receives dividends on German stock,and puts the funds into a German bank account.

When the U.S.ships food aid to a developing nation,the U.S.debits:

The receipt of an interest payment on a loan made by a U.S.commercial bank to a foreign resident is entered in the U.S.balance of payments as a:

The U.S.government gives $1,000,000 to Somalia.In the U.S.balance of payments,the gift of funds is recorded as a ______ to the ________ account.and as a ______ to the ________ account.

The payment of a dividend by an American company to a foreign stockholder represents:

Over the last fifty years the current account balance of the United States has

Accommodating items are:

For the following set of international transactions with the United States,indicate in what specific category and account in the United States balance of payments each transaction would be included and whether it is a credit or debit. Kodak exchanges € 50,000 received from export sales for dollars at the Federal Reserve bank of New York.

From the U.S.point of view,drawing on (reducing)foreign bank balances in a New York bank represents a:

When a U.S.resident (1)purchases foreign treasury bills and pays by (2)drawing down his bank balances abroad,the U.S.:

Which of the following is false?

Carefully define the balance of payments.

When a U.S.firm imports a good from England a pays for it by drawing on its pound sterling balances in a London Bank,the U.S.debits its current account and credits its:

In the 1960s the international investment position of the United States was ______ and today the international investment position of the United States is

What is meant by autonomous transactions?

The international investment position of a nation measures

What is the difference between a credit transaction and a debit transaction in the balance of payments?

A French investor sells $200,000 worth of stock in a U.S.company and puts the proceeds into a bank in the United States.In the U.S.balance of payments,the sale of stock is recorded as a ______ to the ________ account; the bank deposit is recorded as a a ______ to the ________ account.

Which of the following is a debit?